Wednesday, 27 November 2013

THE IMPACT WELFARE SCHEMES AND WORKERS’ PRODUCTIVITY IN INDUSTRIES IN CROSS RIVER STATE, NIGERIA.

Chapter one
Introduction
1.1          Background to the study  
Before privatization, the managers of government companies adopted Laissez faire attitude in running the companies. Yesufu (1996) states that there was business as usual, meaning that government interest was not protected, contracts were awarded to political cohorts and only loyal agents to the party in power were employed.  In other words, the nation state was ignored and only those who aided the politicians to attain votes were cratered for.
The researcher’s visit to some of the companies after privatization showed that many incentives have been introduced. These incentives are introduced to cushion the effect of non-challant attitude of workers. When most of the companies were managed by government agents, very few welfare schemes as it existed in the ministries were given to the workers. One of the major welfare scheme was the leave grants. But today, many more schemes are introduced to make the workers happy so as to boost productivity. Some of these schemes are in providing medical care, vehicles as loans to move workers to their places of work, provision of cash benefits immediately after retirement, the creation of recreational facilities to ease tension during free periods and the need for training and retraining to meet the present needs of the technological era.
       Ojah (2002) submits that there are twenty-six (26) industries in Cross River State.
Workers are the most essential resource for the achievement of the goals of any organization. Accordingly industrial workers, like workers in other organizations, should be motivated through welfare schemes so as to continue to perform their statutory duties. These welfare schemes are expected to be inducing enough for the workers to be motivated to attain maximum productivity. However, for desired production in industries to be achieved, there must be human and social actions in their proper perspectives. Human action in this regard, involves the technical know-how required in the production of goods and services, in terms of expertise of human labour.
Human labour should be enhanced through the provision of welfare schemes to motivate them for improved performance. Moreover, in order for industries to provide consumers befitting services, they must live up to the challenges of providing adequate welfare packages for their workers so as to boost the egos of the workers. Additionally, the Nigerian economy is globalizing (struggling to meet world standard), hence consumers may demand higher quality goods and services like their counterparts worldwide. Inadequate welfare schemes could cause industrial disputes, crises and a situation that would affect productivity. To avert such situations, a properly coordinated welfare scheme should be introduced.
       According to Yesufu (1996: 28), an industry is a social system deliberately established to carry out a definite purpose and consists of people in creative relationship. In other words, organizations being a social system, the people they engage as workers, need to be treated well for them to be effective. This treatment includes energizing, coercing and placating these workers by their employers.
       Wikipedia (2010) averres that, before the Industrial Revolution in Europe, workers were treated like underdogs. This means that owners of companies never bothered about the welfare of the workers. With the Industrial Revolution things started changing, and in Africa, when the Europeans established the Royal Niger Company in 1947, the workers borrowed the ideas of the Industrial Revolution and formed trade unions to protect their rights. These rights were in terms of short working hours, payment for overtime, bonuses for special tasks performed and even pay rise to suit the inflationary trends.
       Current trends in the world of business show that organizations are not merely established and designed to make profit only. Okozu (2002) contends that the promotion of welfare, human relations and interdependence (symbiosis) bring about economy of scale, whereby companies specialize in the production of one material and depend on other companies for their own needs. Workers would be satisfied with the situations that will assure them of their future. They look forward to situations that will promote their ego and stabilize their financial standing in the society. For instance, if they run into bad health, they were sure to have their bills paid, if their wives gave births, visitation would follow, if car loans, leave allowances and other statutory allowances were paid, the workers are bound to be happy thereby putting more efforts in their workplace.
       Ireogbu (2008) submits that in unionized industries, workers rely on their unions for negotiation on their welfare packages. Often times, staff welfare are not treated with the seriousness and due regard attached to their work.
Consequently, based on available literature, not much effort, has been made on relating staff welfare schemes to their productivity.

1.2  Theoretical framework of the study       
The following theories are deemed necessary as the framework of the study.
(i)    Maslow’s (1943) Need Hierarchy of human needs theory
(ii)   McClelland’s (1964) Need Achievement needs theory
(iii)  Vrooms (1964) Expectancy theory

(iv)  Herzberg’s (1968) Motivation Hygiene theory 

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